Published
21st March 2024
Annual Pension Increase
Local Government Pension Scheme pensions are increased based on Pensions Increase (Review) Orders and Guaranteed Minimum Pensions Increase Orders which are set out by HM Treasury.
The Pension Increase Order is currently linked to CPI (Consumer Prices Index) as at the previous September.
It has been confirmed that the increase for 2024 will be 6.7% for those who will be paid the full increase.
This will be applied to your pension from 8th April 2024.
Pensioner Members
For those whose benefits are in payment, you will receive a partial increase in your April payment. This is because your pension is due to be increased this year with effect from 8th April 2024 and as such your payment for April will be based on both the pre and post increase amounts. Your payment with effect from 1st May 2024 will have the full increase applied.
A posted payslip will be issued to you in March 2024 (this is your P60 substitute), in April 2024 as it contains a partial increase payment and again in May to notify you of the fully increased monthly payment.
Pension increases are normally paid to:
|
to |
23-Apr-23 |
6.70% |
|
|
24-Apr-23 |
to |
23-May-23 |
6.14% |
|
24-May-23 |
to |
23-Jun-23 |
5.58% |
|
24-Jun-23 |
to |
23-Jul-23 |
5.03% |
|
24-Jul-23 |
to |
23-Aug-23 |
4.47% |
|
24-Aug-23 |
to |
23-Sep-23 |
3.91% |
|
24-Sep-23 |
to |
23-Oct-23 |
3.35% |
|
24-Oct-23 |
to |
23-Nov-23 |
2.79% |
|
24-Nov-23 |
to |
23-Dec-23 |
2.23% |
|
24-Dec-23 |
to |
23-Jan-24 |
1.68% |
|
24-Jan-24 |
to |
23-Feb-24 |
1.12% |
|
24-Feb-24 |
to |
23-Mar-24 |
0.56% |
If you have reached your state pension age, and if your LGPS pension contain any membership between 6th April 1978 and 5th April 1997 your pension may include an element known as COPE (Contracted Out Pension Equivalent), which was previously known as GMP (Guaranteed Minimum Pension). Further information can be found at State Pension fact sheet: Contracted Out Pension Equivalent (COPE) - GOV.UK (www.gov.uk)
The increase due on this part of your pension is paid depending on when your state pension age is -
If your pension includes a COPE/GMP earned up to 5th April 1988 the increase on this part of your pension is paid with your state pension. If your pension includes a COPE/GMP element earned on or after 5th April 1988 this will be paid with your LGPS pension up to a maximum of 3%, with the increase due above this amount being paid with your state pension.
If your pension includes a COPE/GMP payable on or after 6th April 2016 all of the increase due will be paid with your LGPS pension and will also include any pre 6th April 1988 COPE/GMP.
Deferred Members
For those who benefits are deferred an increase is applied to your benefits on 8th April 2024. The increase is 6.7%. For those whose benefits have been deferred for less than a year, you will receive a proportioned increase, applied in line with the table above.
CARE (Career Average Revaluation Earnings) Increase
Active Members
CARE (Career Average Revalued Earnings) pensions are adjusted based on the Treasury Revaluation Order index.
The benefits you have built up with effect from 1 April 2015 will therefore be increased 6.7%.
If your active scheme membership is less than a year, you will receive a proportioned increase this year.
